Why VC Firm Sequoia Broke With Tradition To Put Down Roots In Europe’s Startup Scene

When Klarna cofounder Sebastian Siemiatkowski heard venture capital firm Sequoia’s pitch a decade ago, he was “blown away.” Here was a famed Silicon Valley investor behind the likes of Apple, Google and YouTube visiting his payments startup all the way in Stockholm – to sell him on their help. But Siematkowski didn’t want to seem too easily wooed. “If we’re really the next Google, why isn’t the whole partnership here? Why is it only you who flew?” he asked Sequoia’s partner in the room at the meeting’s end. READ MORE

Venture Capital Funds Need To Innovate And Differentiate. Here's How They Can

The venture capital (VC) industry has been redefining, reinventing and repurposing itself in recent times due to the influx of online crowdfunding platforms, accelerated technology cycles and a newer generation of founders. This has required venture capital funds to increase their relevance, become agile and transform themselves into more than an investment partner to founders. In this article, I'll discuss several factors that are helping venture capital funds to innovate and differentiate. READ MORE

2020 Election preview: Private equity

Taxes, taxes and more taxes. The Democrats have made it clear they intend to increase taxes on the wealthy and businesses. Trump’s 2017 tax bill lowered corporate and individual taxes and made tax law more beneficial to multinational companies. But federal spending has increased, even before COVID-19, and federal budgets will need additional tax revenues regardless of the election’s outcome. A Democratic White House could spur general partners who are holding onto gains in certain portfolio companies to sell ahead of schedule. Policies around who may invest in PE—whether wealthy Wall Street types or Main Street investors—will also be critical. READ MORE

What each presidential candidate means for venture capital

Joe Biden appears to align with more venture capital and startup industry priorities than does Donald Trump, despite the latter's dedication to cutting personal and business taxes.

Why it matters: Trump’s hostility to immigration and bans on Chinese apps TikTok and WeChat are especially challenging for the industry, according to its top lobbying group, the National Venture Capital Association. READ MORE

How (And Why) To Make Venture Funding More Equitable

Despite a growing awareness of the inequities in venture funding, along with the massive untapped financial opportunities from investing in underestimated founders, the stark discrepancy between who gets funded and who sees the best startup results is alive and well. For example, recent data from Pitchbook revealed the third quarter of 2020 to have hit a three year low in venture funding to female founders, even though a study by FirstRound Capital showed that companies with a female founder performed 63% better than those with all-male founding teams. READ MORE

2020 Election preview: Private equity

Taxes, taxes and more taxes. The Democrats have made it clear they intend to increase taxes on the wealthy and businesses. Trump’s 2017 tax bill lowered corporate and individual taxes and made tax law more beneficial to multinational companies. But federal spending has increased, even before COVID-19, and federal budgets will need additional tax revenues regardless of the election’s outcome. A Democratic White House could spur general partners who are holding onto gains in certain portfolio companies to sell ahead of schedule. Policies around who may invest in PE—whether wealthy Wall Street types or Main Street investors—will also be critical. READ MORE

How venture capital can increase diversity where it matters most

I am a first-generation Mexican-American fund manager for Act One Ventures, based in Los Angeles, and I’ve raised two venture funds over the past five years. I do not come from wealth or privilege, which historically have been the driving forces behind the venture capital world. Now, as an up-and-coming investor, I want to put diversity at the forefront and address systemic inequality in venture. READ MORE

Considerations for Private Equity and Venture Capital Groups Interested in the Health Care Industry

Health care spending in the United States reached $3.6 trillion in 2018 and is projected to reach $6.2 trillion by 2028. With such a large amount of money concentrated in the health care industry, it is no wonder why private equity firms and venture capitalists continue to enter this space. For any groups looking to jump into the fray, there are several health care-specific considerations of which to be aware. READ MORE